Paragon Reminds OPT Shareholders to ONLY Vote Blue Proxy and Send Message to OPT Board that Change is Needed to Avoid Continued Shareholder Losses
- None.
- Allegations of rigging the voting process may create uncertainty and negative sentiment among investors.
Insights
The ongoing proxy battle at Ocean Power Technologies highlights significant corporate governance issues that could influence investor sentiment and the company's future strategic direction. The call to action for shareholders to vote a specific proxy card indicates a power struggle that may lead to changes in the board's composition. Such events often result in volatility in the company's stock price as the market reacts to potential shifts in management and policy.
From a financial perspective, the mention of 'destruction of shareholder value' suggests that the current board's decisions may not align with maximizing shareholder returns. This situation could open the door for activist investors to step in, which might lead to restructuring efforts aimed at enhancing value. Investors should closely monitor the outcome of this proxy fight as it may have implications for the company's operational efficiency, cost structure and overall strategy, all of which can significantly impact the stock's performance.
The involvement of the Delaware Courts in determining the election results of Ocean Power Technologies' board members is indicative of a legal dispute that could have far-reaching implications. The legal process may be lengthy and could introduce uncertainty regarding the company's leadership and decision-making process. Furthermore, the costs associated with such legal battles can be substantial, potentially diverting resources away from productive uses and impacting the company's financial health.
It is also worth noting that the outcome of such legal proceedings can set precedents for similar cases in corporate governance. Stakeholders should be aware of the potential for increased legal risk and the implications it may have on the company's reputation and ability to attract future investment.
The proxy fight at Ocean Power Technologies underscores a critical aspect of corporate governance: the alignment between a company's board, its management and its shareholders. The current board’s apparent resistance to change, despite shareholder dissatisfaction, raises questions about their commitment to shareholder interests. The emphasis on voting for Paragon's nominees suggests a push for a strategic pivot that could redefine the company's future.
Effective corporate governance is essential for long-term value creation and a board that is responsive to shareholder concerns is a key component. The situation at Ocean Power Technologies could serve as a case study on the importance of transparent and accountable leadership. The resolution of this proxy fight will likely have a lasting impact on the company's governance practices and investor confidence.
EASTON, PA / ACCESSWIRE / December 28, 2023 / Paragon Technologies, Inc. ("Paragon"), a diversified holding company, and the largest shareholder of Ocean Power Technologies, Inc. (NYSE American:OPTT), ("Company") ("OPT"), would like to thank shareholders for their overwhelming support so far.
We also want to remind shareholders to ONLY VOTE the BLUE proxy card that is being mailed to them and disregard the WHITE proxy card mailed by the Ocean Power Technologies.
OPT wants shareholders to believe it will not count any votes for Paragon's nominees. However, Paragon reminds OPT shareholders that your vote matters and that, ultimately, the Delaware Courts will determine the election results. If you want to send a clear message to the company that change is needed, VOTE the BLUE Proxy Card and let the Delaware Courts determine whether your vote counts.
A vote on the White proxy card only perpetuates the continued destruction of shareholder value being supported by OPT's current board members.
DISREGARD ANY WHITE PROXY YOU RECEIVE FROM OPT.
While shareholders have lost tremendous amounts of value, the Board and CEO have benefited significantly with bonuses and increasing compensation.
Unable to defend their disastrous track record, the OPT Board has resorted to spending millions of shareholder capital to do anything they can to DENY SHAREHOLDERS - the rightful owners of the Company - from being able to vote on the qualified board candidates of their choice.
The Board knows they cannot win fairly, so they rigged the rules of the game to prevent ALL shareholders from effectuating any change. Shareholders can send a direct message that the current Board and CEO are no longer acting in the best interest of shareholders by ONLY VOTING THE BLUE PROXY CARD.
Your vote matters and it will not be up to OPT to determine if your vote counts or not.
Please email us at ir@pgntgroup.com with any questions about how to vote your BLUE proxy card.
We appreciate the support from shareholders thus far. If shareholders have any questions, please contact our Proxy Solicitor, Alliance Advisors at:
Alliance Advisors
200 Broadacres Drive, 3rd Floor
Bloomfield, NJ 07003
Toll-Free Phone: 855-200-8651
Email: OPTT@allianceadvisors.com
OPT has said that it will disregard proxy votes in favor of Paragon's director nominees. Whether OPT may lawfully disregard Paragon's director nominees is an issue that Paragon expects will be resolved by the Delaware courts.
By voting on Paragon's BLUE universal proxy card, you can send a message to OPT
that you do not support their actions in relation to the Annual Meeting and attempting to block the recognition of Paragon's nominees.
Stockholders should review the section of Paragon's proxy statement titled "Questions And Answers Relating To This Proxy Solicitation--Why is OPT saying it will disregard Paragon's director nominations, and how does that impact proxies that stockholders provide to Paragon?"
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Paragon Technologies, Inc., together with the other participants named herein, has filed with the Securities and Exchange Commission (the "SEC") a definitive proxy statement and an accompanying proxy card soliciting votes for the election of director nominees at the 2023 annual meeting of shareholders of Ocean Power Technologies, Inc., a Delaware corporation (the "company").
Paragon Technologies, Inc. is the beneficial owner of 2,724,970 shares of common stock of the company, par value
Paragon Technologies, Inc., and Paragon's director nominees Hesham M. Gad, Shawn M. Harpen, Jack H. Jacobs, and Samuel S. Weiser, are the participants in the proxy solicitation. Mr. Gad, Executive Chairman of Paragon's Board of Directors and Chief Executive Officer of Paragon, and Messrs. Jacobs and Weiser, directors of Paragon, may be deemed to beneficially own the shares of the company's common stock held by Paragon. Ms. Harpen does not own beneficially or of record any securities of the company. Updated information regarding the participants and their direct and indirect interests in the solicitation, by security holdings or otherwise, has been and will be included in Paragon's proxy statement and other materials filed with the SEC.
SHAREHOLDERS OF THE COMPANY SHOULD READ THE PROXY STATEMENT AND OTHER PROXY MATERIALS CAREFULLY AND IN THEIR ENTIRETY AS THEY CONTAIN IMPORTANT INFORMATION RELATING TO THE COMPANY'S ANNUAL MEETING, PARAGON'S SOLICITATION OF PROXIES AND PARAGON'S NOMINEES TO THE BOARD. SUCH PROXY MATERIALS ARE AVAILABLE AT NO CHARGE ON THE SEC'S WEBSITE AT WWW.SEC.GOV OR FROM PARAGON TECHNOLOGIES, INC. REQUESTS FOR COPIES SHOULD BE DIRECTED TO PARAGON'S PROXY SOLICITOR.
SOURCE: Paragon Technologies Inc.
View the original press release on accesswire.com
FAQ
Why is Paragon Technologies, Inc. (PGNT) urging shareholders of Ocean Power Technologies, Inc. (OPTT) to vote the BLUE proxy card?
What is the ticker symbol for Ocean Power Technologies, Inc.?
What should shareholders do with the WHITE proxy card mailed by Ocean Power Technologies?
How can shareholders contact Paragon Technologies, Inc. for questions?
What is the potential impact of shareholders' votes on the election results?
What are the allegations made by Paragon Technologies, Inc. against Ocean Power Technologies, Inc.?
What is the significance of voting the BLUE proxy card according to the PR?
